What is Pricing in SAP – Pricing Procedure in SAP SD

The pricing of goods and services are determined based on certain conditions like cost of
materials, manufacturing, shipping, sales tax, etc. In the Sales and distribution (SAP SD)
module, the price of goods and services are determined by the pricing functions.

What is Pricing in SAP – Overview of Pricing Procedure

During the sales documents processing, the SAP system automatically calculates the net
values of documents by considering the condition values of di erent pricing elements. The
prices are calculated based on conditions techniques. A condition technique is the process of
determining the condition records into sales documents. The pricing procedure in SAP as
follows

 Condition technique consists of condition records and condition records are stored in
condition tables.

 Condition tables will be placed in access sequences.

 Access sequences are assigned to condition type.

 Condition types will be placed in pricing procedure

You can configure pricing in SAP system as per the requirements of clients. Pricing procedure
consists of the following configurations.

1. Condition Records

2. Condition Tables

3. Access Sequence

4. Condition Types

5. Pricing Procedure

6. Pricing procedure determination

Condition Records: – It is also called as condition master; it is the master data for pricing. You
can maintain condition master record by using transaction code VK11.

Condition Tables: – It is the combination of fields which are used to maintain condition
records. You can maintain condition tables in SAP using transaction code V/03.Display -V/05

Access Sequence: – It is a search strategy used to search for valid condition records from most
specific to most general. You can maintain access sequence in SAP using transaction code
V/07.

Condition type: – It controls the pricing components and pricing elements. You can define
condition types in SAP using transaction code V/6.

SAP system automatically determines the gross prices of goods/ services by calculating the
charges and discounts on a particular vendor on a basis of price procedure condition type.
1st Step - How to Define Condition Table in SAP SD (V/03)

Condition tables are the combination of fields which are used to maintain
condition records in SAP.

Define condition table in SAP SD

Navigation Menu Path:

SAP R/3 Role

Create condition tables
Menu

Transaction
V/03
code

SPRO -> Implementation Guide for R/3

SAP IMG Customizing (IMG) -> Sales and Distribution (SD) ->
Menu Path Basic functions -> Pricing > Pricing control ->
Define condition tables.

Step 1: – Enter T-code “V/3” in the SAP command field and execute.

Step 2: – On create condition table (Pricing Sales/ Distribution) screen,

update the following details.
Table: – User defined table number should be above 500, below 500 are
predefined default tables. Enter the number the identifies as condition
table in SAP. The table number should be in between 500 and 999, if you
don’t enter table number than the system automatically takes the number
below 500.
Press Enter to continue.
Step 3: – On create condition table (Pricing sales/distribution) field
overview screen, update the following details.
Field catalogue: – Field catalogue consists of the list of allowed fields for
creation of condition table in SAP. Choose the required key fields to create
the condition table. Double click on the filed which is under filed catalogue
field and it will appear in selected field.
Click on technical view button, the fields that are marked as key appears at
key level, and the fields that are marked as footer field appears at footer
level while defining condition records.

After selecting the fields click on generate (shift+f4).

Click on yes option to generate the condition table.

You have to save it in package, then only system will propose

workbench request number. If you save it in request number then only
you can transport it from one server to another server. Workbench
request is cross client request, so you can create any condition table in
one client and it will appear in all clients.
You can save condition table in local object or package. If you save
condition table in local object, then SAP system won’t generate request
number and you cannot transport condition tables from one server t
another server. So, save the tables in package to transport from one server
to another server.
Successfully we have created condition table in SAP.
How to Define Access Sequences in SAP SD

What is Access Sequence?

An access sequence is a search strategy that helps the SAP system to determine
valid conditional records for condition types during pricing in sales documents.
Access sequences is a cross client and stored in work bench request.
Access sequences in SAP can have multiple condition tables and access
sequence can used for multiple condition types. In access sequence, condition
tables are from most specific to most generic.
Purpose of Configuration
Access sequences must be created in SAP to use condition records.
In pricing procedure, access sequence is assigned to condition types and it
helps to retrieve the data from condition table in a logical sequence.
SAP SD – Define Access Sequences in SAP
Navigation

SAP R/3 Role

Maintain Access Sequences
Menu

Transaction
V/07
Code

SPRO (Tcode) -> Implementation Guide for R/3

Customizing (IMG) => Sales and Distribution (SD) =>
SAP IMG Path
Basic functions => Pricing => Pricing control =>
Maintain access sequences.
Step 1 : – Enter Tcode “V/07” in the command field and click on execute
option.

An information – caution: the is cross -client displays on the screen, press

enter to continue.

Step 2: – On change view access sequences overview screen, click on new

entries button to create a new access sequence in SAP as per requirements
of project.

Step 3 : – On new entries access sequence screen, update the following

details.
 AS: – Enter the key that identify as the access sequence in SAP
 Description: – Update the descriptive text of access sequence.
 Ty.: – Choose access category if required.
Click on save button and save the configured access sequences details in
SAP.
Step 4:– Choose newly defined access sequence key and double click on
Accesses.

On change view accesses overview screen, click on new entries button and
place the condition table from most specific to most general.

On new entries accesses screen, update the required condition tables in the
required order from most specific to most general.
 No: – It specifies the sequential number condition table.
 Table: - In this field, you need to specify the condition table number.
  Exclusive: – By choosing exclusive check box, the system finds the
valid condition record and system will come out with search strategy
and determine the price into sales document.

Select the condition table entered in access sequences and click on fields. The
system gives the warning messages as “The field assignment has not yet been
made”, press enter till you get the fields. Repeat the same procedure for all the
condition tables in access sequences. Choose the save button and save the
details.
Successfully we have configured access sequences in SAP.
What is Condition Type | How to create Condition Types in SAP

What is condition type in SAP

Condition type is a technique that controls the price components or price
elements in SAP. In a real time business scenario, the entire pricing can be
divided into four elements i.e
1. Basic Price
2. Discount/Surcharge
3. Tax
4. Freight
There can be di erent types of condition types for each type of price
element. each pricing element has its own functionalities and usage in the
SAP system, and we need to define corresponding condition types with the
respective functionalities.
How to create condition types in SAP
Navigation

SAP R/3 Role

Maintain condition types
Menu

Transaction
V/06
code

SPRO(Tcode) -> Implementation Guide for R/3

SAP IMG Customizing (IMG) => Sales and Distribution (SD) =>
Path Basic functions => Pricing => Pricing control =>Define
condition types => Maintain condition types.

Note : – SAP system delivers various predefined condition types and you use
this types as per your requirements. However, you can define new condition
type in SAP as per requirements of client using option new entries or copy as
option.
Step 1 : – Enter Tcode “V/06” and enter.
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Step 2 : – On change view conditions: condition types overview screen,

choose new entries button and update the following details.
Condition type: – Update the key that identifies as condition type in SAP and
update the descriptive text of condition type.
Access Sequence: – Update the corresponding access sequence key of the
condition type.
Condition class: – It determines the structure of condition type and allows to
control each condition type as per its functionalities.
Plus/minus: – This filed for discounts and surcharges, if you enter negative
(X), then it becomes discount. If you choose the value as positive (A), it
becomes surcharge.
Calculation type: – It determines how the condition amount of condition type
is to be calculated.
Condition category: – It specifies the classification of di erent condition
types.
Scale basis: – It specifies how the scale amount of condition type is
calculated.
Check value : – Specifies the scale rates to be entered as per ascending
order or descending order.
Click on save button and save the configured condition type details in SAP.
Define condition type with reference of standard condition type
You can create new condition type by coping the standard condition type, so
the all the settings of predefined condition type are copied to new condition
type.
Update new condition type and description and press enter to continue.
What is Pricing Procedure – Define Pricing Procedure in SAP

What is Pricing Procedure in SAP

Pricing Procedure determines the price of goods and services
in SAP system. When you are processing sales documents the
system calculates the documents price by considering the
condition types. Each pricing procedure in sap consists of its
own set of condition types to determines the prices of goods
and service for the respective customer categories.
Purpose of configuration
In this activity you define customer pricing procedure to
calculate the value of goods & service. We need to place the
condition types in a sequence order. The SAP system
determines the pricing procedure on the basis of
 Customer master data
 Sales data
 Sales document.
How to define pricing procedure in SAP
Navigation

SAP R/3 Role

Maintain pricing procedure
Menu

Transaction
V/08
Code

SAP IMG SPRO -> Implementation Guide for R/3

Path Customizing (IMG) > Sales and distribution
 > Basic functions > Pricing > Pricing control
> Define and assign pricing procedure.

Note: – You define new customer pricing pro

Step 1: – Execute T-code “V/08”.
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Step 2: – On change view procedures overview screen, click on

new entries for creation of pricing procedure in SAP.

Step 3: – On new entries pricing procedures screen, update

the following details.
 Procedure: – Enter the key that defines as pricing
procedure in SAP.
 Description: – Enter the description of pricing procedure.
Now click on save button and save the configured pricing
procedure details in SAP system.
Step 4: – Select the pricing procedure and double click on
control tab.

Click on new entries button and specify the required condition

types in required order.

Update the following details.

Step : – It specifies the sequential number of condition type in
pricing order.
CTyp : – Update the required condition types
Description: – The description of condition type will be
automatically updated by SAP system.
Manual: – It enables to determine conditions during pricing in
sales documents either if they are entered manually or from
other application.
Required: – If you check this option for condition type, it
becomes mandatory during pricing in sales documents.
Reqt : – The requirement specifies condition type has to be
determined during pricing in the sales document. If a
condition type to be determined into sales document, the
requirement specified here must be specified.

After maintaining all the required details, click on save button

and save the configured details.
Successfully we have maintained pricing procedure in SAP SD.
How to Define Pricing Procedure Determination in SAP SD

Define pricing procedure determination in SAP SD module step by step using

transaction code OVKK.
Pricing Procedure Determination in SAP SD
During sales documents processing, the SAP system automatically
determines a corresponding pricing procedure. Pricing procedure
determination is based on combination of sales area, document pricing
procedure and customer pricing procedure.
Navigation

SAP R/3 Role

Pricing Procedure Determination
Menu

Transaction
OVKK
Code

SPRO (Tcode) => Implementation Guide for R/3

Customizing (IMG) => Sales and distribution => Basic
SAP IMG
functions => Pricing => Pricing control => Define and
Path
assign pricing procedure => Define pricing procedure
determination

Step 1: – Execute tcode “SPRO”

Step 2 : – Choose SAP Reference IMG (F5).

Step 3 : – Follow the IMG menu path and click on img activity “define and
assign pricing procedure”

Step 4 : – Choose activity screen displays, double click on “Define pricing

procedure determination”.
Step 5 : – On change view “Pricing Procedures: Determination in sales docs”:
overview screen, click on new entries button.

Step 6 : – On new entries pricing procedure determination screen, update the

following details.
 SOrg : – Enter the sales organization key.
 DChl : – Update the distribution channel key.
 DV : – Update the division key
 DoPr : – Update the document procedure key.
 CuPP : – Update the customer procedure key.
 PriPr. : – Update the pricing procedure key
 CTyp: – Update the condition type key.
After maintaining all the required details, click on save button and save the
configuration details of pricing procedure determination in SAP.
Note : – As per per clients requirement, you need to define separate pricing
determination with in a group of customers (For e.g. whole sellers, Online
sellers, etc). Di erent pricing procedure for a customer’s depending on the
sales documents. However, you can configure pricing procedure
determination with combination of sales organization, distribution channel,
divisions, pricing procedure, condition types based on the requirement of
clients.
Successfully we have created pricing procedure determination in SAP SD.